Total Systems Failure

Our new investigation reveals systemic illegal logging by a major European company in the Democratic Republic of Congo, while Norway and France are on the brink of funding expansion of the country’s industrial logging sector.

Our two-year
investigation reveals that European company Norsudtimber – the biggest single
owner of logging concessions covering over 40,000 km2 of rainforest in the Democratic Republic of
Congo (DRC) – is operating illegally on 90% of its sites.

At the same time, Norway
and France are planning to fund an US$18 million programme, which includes
backing the expansion of industrial logging in DRC and support to Norsudtimber
– which is headquartered in the Alpine tax haven of Liechtenstein. This directly
contradicts both countries’ climate and forest protection goals.

China, Vietnam, France
and Portugal are also all failing to stop Norsudtimber’s illegal timber
trading: 78% of its timber exports went to Vietnam and China between 2013 and
2017, 11% went to Europe, with the majority going to Portugal and France. Almost
60% of the timber exported comes from endangered or vulnerable tree species.

The report “Total Systems Failure” shows how a global web of
secrecy – made up of tax havens and shell companies listed in Liechtenstein, Dubai
and Hong Kong – is facilitating this illegal international trade whilst protecting
three Portuguese brothers at the head of the company from scrutiny. Norsudtimber’s
detailed response to the allegations is included in Global Witness’ report.